If the Assets Shown on a Balance Sheet Are Subjected

question 101

Multiple Choice

If the assets shown on a balance sheet are subjected to vertical analysis (using total assets as the base) ,an increase in the figure for non-current assets from 40% to 55% would always mean that:

• A) total non-current assets have increased as a percentage of total assets
• B) the dollar amount of current assets has decreased
• C) total current assets have decreased as a percentage of total assets
• D) total non-current assets have increased as a percentage of total assets and total current assets have decreased as a percentage of total assets

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Definitions:

Iron Deposits

Accumulations of iron in the body, which may occur in various tissues and organs, possibly leading to health issues.

Synovial Fluid

A viscous fluid found in the cavities of synovial joints that reduces friction between the articular cartilage during movement.

Acute Pulmonary

Refers to sudden conditions affecting the lungs, such as acute pulmonary edema or acute respiratory distress syndrome.

Difficulty Breathing

A condition where an individual experiences problems or discomfort when breathing, indicating respiratory issues.